Dro Kholamian stands accused of fraud, and acknowledged the receipt of the indictment, waiving the formal reading. He entered a plea of Not Guilty on the charges of the indictment, which were failed back in August of 2020.

Proper Preparation Time Given

Arrangement proceedings for the case against Kholamian have been held on the 1st of September, 2020.

The Court has excluded time from the 1st of September, 2020, to the 16th of October, 2020. This was dune under 18 USC. § 3161(h)(7) in order to serve the ends of justice, and received no objections.  This time was set in order to allow all parties within the case to have a reasonable amount of time needed to effectively prepare for the case at large. This includes the revision of discovery materials, discussing potential resolution of the case, and consideration of pretrial motions. These delays outweigh the interests of the Defendant and the public in a speedy trial. Both the Defense and the Government have agreed on certain conditions of pretrial release, as well.

Stealing $700,000 From Victims

Dro Kholamian stands as a self-employed trader and traded in both Forex and commodity futures contracts. He stands as the Manager and President of Blue Star Trading, LLC.

As the indictment stipulates, at the beginning or around January of 2013, and continuing to at least until June of 2020, the Defendant had allegedly participated in a scheme to defraud his clients. This stood as part of an alleged scheme where Kholamian made materially false representations to victims in order to fraudulently gain and otherwise retain the funds of his investors. These false representations pertained to various aspects, such as when the funds would be repaid, as well as the various risks involved.

According to the indictment, Kholamian had allegedly misappropriated the funds of his victims, using a substantial portion of it to pay for his own personal expenses. This, in turn, saw the victims lose a minimum of $700,000 in funding.

Many Ways To Handle Fraud

This case will be continued within the Northern District Court of Illinois.

It’s always morbidly fascinating to see where these cases eventually lead to. Some outright refrain from responding to these cases, opting to flee authorities instead. Others try to invalidate cases through sheer technicalities or delay the cases for as long as they possibly could. Kholamian has opted to take these accusations directly, which is rarely seen in matters such as this. Time will tell if the man was really innocent or not, however.